Articles Tagged with Bankruptcy

Yes! First of all, you can buy anything for cash, no permission is needed – but – you need written permission from the court to get a new loan or new credit while you are in a chapter 13 bankruptcy. The court wants to make sure you are not doing something that will jeopardize your ability to complete your chapter 13 Plan.

buying-a-car-300x1661. Find a dealer or car lot that is willing to sell you a vehicle and can get you financed.

Before anything is finalized, I will need the details of the sale; the year, make, and model of the vehicle, the selling price, the amount of the monthly payment, the interest rate, and the total cost. You (or the dealership) can email or fax this information to me.

The protection available to you when you file bankruptcy is immediate and automatic.  The moment you file, whether it is a Chapter 7 or a Chapter 13 bankruptcy case, the court places you under it’s protection. Both your income and property are completely sheltered from any creditor seeking to repossess, foreclose, garnish, or seize them. The court refers to this as “The Automatic Stay”.  Any and all collection attempts against your income or your property must stop.  If a lawsuit has been filed, it must cease. If a judgment has been issued and a subsequent Writ of Garnishment has gone out, it must cease.  If the repossession order has gone out, efforts must cease.  If the foreclosure date has been set, it must cease.  Also, creditors must stop calling you, sending you letters, calling your family, etc.  The Automatic Stay is known as “the protection that halts any and all creditor collection activity”.  For more reasons why you may not want to wait, click here.   Bankruptcy was created to protect you, your income, your family, and Continue reading

Whether you are doing a debt consolidation, debt management, debt settlement, credit counseling, or bankruptcy, all negatively affect your credit.  The secret they don’t want you to know: your credit will suffer if you are not paying creditors exactly like you agreed or exactly like they want.  Debt consolidation, debt management, debt settlement, and credit counseling companies want you to pay them a fee in addition to what you pay on your debts.  These payments are NOT improving your credit and in many cases the payment won’t cover the interest on the debt.

Bankruptcy can get you back on track to good credit faster and cheaper than any of the other options.  Don’t sacrifice your financial future by using your savings or cashing out 401k’s and retirement accounts in an effort to stay afloat.  Right now, you need to do what is best for you and your family.  Things aren’t like they used to be.  Your credit will recover after bankruptcy.

credit bureausThe bankruptcy code does not require that you reaffirm, or sign an agreement to continue to be personally responsible for the payments on your mortgage. As long as you continue to pay the house notes they cannot foreclose.  However, most mortgage companies will not report your payments to the credit bureaus if you did not sign a reaffirmation agreement. So it is important to know that it is still possible to get your payments included on your credit reports.

  1. Request a payment history from your mortgage company. (The mortgage company is required by law to provide one every year free of charge.)
  2. Send a letter to the three credit bureaus – TransUnion, Equifax, and Experian,  and dispute the fact that your mortgage payments do not show up or that you have not paid your mortgage payments and attach a copy of the payment history you obtained from the mortgage company.

credit score rangeCan you get credit after filing bankruptcy? Absolutely.  Will you have to wait for ten years to get a house or a car?  Absolutely not.

Credit card companies will pack your mailbox with offers of credit.  They want you back in the system using credit cards and carrying a large balance. It’s a temptation that few can resist. These cards and offers will be from lenders that will charge high interest rates.  The same goes for cars and trucks.  There are numerous companies that will be glad to give you credit.  For a while, the question will be about how much interest they will charge you for that credit, which will be high until you’ve regained your footing.

Now, you shouldn’t run out and start charging up credit bills again, but if you need a vehicle or furniture and appliances you will be able to get credit. National creditors see people who file bankruptcy as a good credit risk since all their debts were wiped out, they can’t file Chapter 7 again for eight years and they have money to spend.  Many Mississippi bankruptcy filers are able to reestablish their credit within one year of their bankruptcy discharge.

wedding ringsMississippi is not a community property state and in most cases, a husband and wife are not responsible for each other’s debts. There are some exceptions, but they usually would only come up in a divorce or action between the husband and wife, not in a situation between the husband or wife and a creditor. A bankruptcy filed by one spouse should not affect the credit of the other spouse because that spouse did not file bankruptcy. The spouse’s name and Social Security number would not be listed on the bankruptcy papers of the other.

If there are joint credit cards or other joint debts then the spouse that did not file would still owe the debts. Otherwise, if the debt is just in the name of the spouse filing for bankruptcy, creditors would not even know the other spouse exists.

Bankruptcy law allows a married couple to file together, but they are not required to do so. Either husband or wife can file by themselves, or not file, or even file two different types of bankruptcy at the same time. Your spouse may not need to file bankruptcy at all or one spouse may need to file a chapter 7 and the other may need to file a chapter 13. You are allowed to file a bankruptcy by yourself and wipe out the debts you can discharge. You have several options!

Frank Coxwell explains bankruptcy chapters & how to recover from bankruptcy.

To listen to the program, click here

Money_TalksI joined the Mississippi Public Broadcasting (MPB) show – Money Talks – on June 18, 2013 to discuss the topic of bankruptcy, what the different chapters have to offer consumers, and how to recover from filing bankruptcy.  We covered a lot of really good information and were able to take a lot of calls from listeners with great questions.  If you are contemplating bankruptcy or even just interested in what it has to offer, I highly recommend you click above and listen to our discussion.

QuestionNo. Although a bankruptcy case is a public record, it is not that easy to find. Bankruptcy information is not published in any Mississippi newspaper that I am aware of. Yes, one of your nosey neighbors could go to the bankruptcy court and ask but that is a lot of effort and most people will not go that far. The bankruptcy court does not contact your employer and neither will your lawyer.

Now there are several situations where you may need your job, friends, or family to be contacted.

  • If you owe money to your employer, your friends, or family members, then they may be one of your creditors and they will be notified of the bankruptcy.
  • If you have a garnishment, then your employer will need to be notified so we can stop the garnishment.
  • If you file chapter 13 the monthly payments to the court will be deducted from your pay check so your employer will be notified to withhold the payment and send in to the Trustee accordingly.

There are very strict laws that prohibit discriminating against someone for filing bankruptcy. An employer cannot fire or demote you because of the bankruptcy filing. The bankruptcy court deals harshly with those who discriminate against someone just because they filed bankruptcy.

To review the various commercials of bankruptcy and mortgage attorney Frank Coxwell as seen on TV in Mississippi, click here to go to our Media page.  Mr. Coxwell covers various areas of bankruptcy and mortgage legal options available in Mississippi to consumers struggling with financial issues. Stop garnishments. Stop Foreclosure. Deal with student loan and tax debt.  Stop lawsuits. Protect yourself, your paycheck, your family, and your property.

frank_can help you_smaller sizefrank_consultation_smallerFrank_Save Home

Yes and No. In most cases as long as you are up to date on your house payments you can keep your home. If you are not current, the bankruptcy filing protects the home from foreclosure and this could give you the time you need to get caught up, if you were only a couple of months behind.

If you arehouse significantly behind on your house payments, then a chapter 13 is the only way to go if you want to save your home. The most important thing is to file the bankruptcy as soon as possible so they don’t foreclose on your home. Both a chapter 7 or 13 bankruptcy filing stops foreclosure.  The mortgage company would have to then get permission from the bankruptcy court to start the foreclosure process up again.  It’s important to meet with an experienced bankruptcy lawyer to lay out a proper strategy for dealing with your debts in a way that protects the property you wish to keep.